Gen S: How The Next Generation Are Turning Towards Property For Financial Security
In the wake of the Global Financial Crisis, a new trend has emerged in the real estate market. According to the latest study by Co-Op, the younger generation is increasingly shaking off the old party lifestyle in favour of working towards purchasing property.
The report points to the emergence of Gen S – or Generation Sensible – which consists of 17- to 29-year-old university students who are more concerned with establishing financial security through property ownership than partying.
Many young Australians have an extensive post-university plan for their lives that is based around important milestones. For example, 94 per cent of respondents said that owning their own home was on the cards and would be achieved within 5.6 years of leaving tertiary education.
However, 80 per cent of the respondents indicated that they may never become mortgage free and own their home outright due to the increasing price of property in the country, while 66 per cent of respondents indicated that unaffordable housing was the biggest perceived issue in their future.
Furthermore, 72 per cent indicated that homeownership was just as important to them as it was to their parents, indicating a shift in generational values from the perceived socialites of the early 2000s to a more traditional mindset.
The study highlights that this generation is “acutely aware of the major issues of unaffordability of housing going forward, but at the same time is clearly confident that even if they don’t ever own their own home, they still believe it’s a good and safe financial idea long term.”
Tapping into the younger generation could be the key to successfully making financial returns on investment property heading into the future. If you’re looking into selling property, take into consideration this generational desire for property.